Champ Lent Moldy Cash, Hotelier Says

A former friend of Champ Williams testified Tuesday that the Orlando restaurateur lent him $100,000 in moldy cash in 1975 and insisted that the loan be repaid in cash.

Winter Park hotelier Robert Langford was one of a string of witnesses Tuesday who backed up many of the claims made by Champ's estranged son Bruce last week.

Bruce, who has been given immunity, is the government's key witness in the tax evasion trial of Champ, his wife, Betty, son Stephen, and daughter Susan Williams Wood. The federal court trial in Orlando is in its third week.

Bruce has testified that his family skimmed hundreds of thousands of dollars from their restaurants at the Orlando International Airport from 1970 to 1981. He said his father later stored the cash in his closet and had it buried under Champ's home.

The money got moldy and deteriorated, so Champ switched to buying gold and buried it under his home, in a friend's yard and later the yards of his children, Bruce said.

Langford, a close friend of Champ's until late 1975, testified that Champ lent him the money when Langford was cash-poor and tied up in litigation with Ponce Inlet over a building dispute. He said he asked Champ for a 90-day loan and said the money was delivered to him by Bruce.

''Somewhere along the line . . . I kind of noticed the bills were in poor condition . . . a little moldy,'' said Langford, who is in his 70s.

Once while visiting and drinking at Champ's Orlando home, Langford said, Champ showed him a closet with several shelves filled with 10 to 15 large canvas or leather bags.

''He said that they were Krugerrands,'' Langford said, referring to South African gold coins. ''I didn't say much of anything. I didn't see any Krugerrands, just bags.

''He said he was buying gold and gold was going up.''

Under cross-examination by Champ's attorney, Edward Booth of Jacksonville, Langford said Champ also told him that some of the bags contained silver coins. He also said Champ did not ask him to keep the loan or the gold secret. But under questioning by special prosecutor Stephen Calvacca, Langford said he did not ask Champ questions about the closet or tell anyone but his family. ''I didn't think it was any of my business,'' he said.

Langford said he deposited the loan into his business account and repaid it in cash installments. He said his son and daughter carried the cash to the airport and gave it to members of the Williams family. It was paid off 60 days late, he said.

Langford's daughter, Geraldine Liff, testified that when her father was first given the money, she took it to the bank. She said the money, wrapped in tinfoil, smelled ''musty or moldy.''

Her brother, Robert Langford II, said that when he repaid some of the cash to Bruce or Stephen Williams, he smelled a ''musty odor'' when they opened the office safe. He later conceded that the smell could have come from the aging airport.

In 1981 the elder Langford said he was approached for a $1.5 million loan by Bruce, who was helping to run the finances for the Williams businesses. He said Bruce wanted the money so the Williamses could move their restaurants to the new airport.

''I told him I didn't have that kind of money in cash,'' Langford said.

When asked what collateral the family would use, Bruce said ''probably gold,'' Langford said.

Langford said he referred Bruce to a friend, Pete Cross, the president of Barnett Bank, for assistance. Bruce has testified that he persuaded Champ to stop skimming during that time so they could accumulate capital and improve cash flow -- and eventually qualify for $4.8 million in loans from Barnett to pay for the move.

Several days later, Langford said he called Champ. He said that Champ was angry because Langford had not lent him the money and that the conversation turned ''bitter'' and ended abruptly.

Langford said he later wrote to Champ trying to save the relationship, but he said Champ was not interested.

In other testimony Tuesday:

-- Hugh Buford of Winter Garden, a longtime friend and ex-employee of Champ's, testified he kept some gold and other coins for Champ around 1980. He said he held and buried the gold after Champ and Bruce asked him to safeguard it.

He testified he returned the gold to Bruce and the remainder of the silver coins to Champ and a restaurant worker. The family has suggested Bruce stole many of these coins and $125,000 from the business before splitting from them in 1983.

Bruce has testified Champ suggested Buford hold the coins for a few months because he was worried about a police investigation in 1980.

-- Geneal Carraway, a former bookkeeper for Champ from 1967 to 1972, testified that restaurant employees were told not to tabulate guest checks of customers after 5 p.m. Bruce has said that Champ taught him to skim money in 1970 by pulling guest checks and a corresponding amount of cash out of the restaurant's receipts.